The Auto Industry Bailout


Now that we have a sense of the context of the issue, read this article: The Auto Industry Bailout
Answer these questions in your notebook:

a. In what ways have the fortunes of the Big Three automakers been tied with the oil industry?
b. Why is the auto industry currently struggling?
c. What has compounded the crisis for the automotive industry?
d. Why did the automakers approach the federal government for help in September?
e. What did they say federal loan money would be used for?
f. Why did the federal government's initial investment in Detroit garner little attention or debate?
g. What opposition does the $25 billion aid proposal, made by Senate Majority Leader Harry Reid, face?
h. Why should the federal government give the automakers an additional $25 billion if there are strong doubts that even that will help them stay alive?

You have been assigned one of the following points of view. Read the articles from the table below supporting your point of view. Record you findings on this document (you will need it shortly): Bailout Recorder

At the end of our discussion, view this and summarize your thoughts in the discussion tab above.
Anti-Bailout Resources
Pro- Bailout Resources
Congress Remains Divided on Bailout
What's Good for GM Is Good for the Army
Let Detroit Go Bankrupt
Ford's Mulally Testifies to Senate
If Detroit Falls, Foreign Makers Could Be Buffer
G.M.'s Wagoner Testifies to Senate
How To Fix a Flat
Chrysler's Nardelli Testifies to Senate
A British Lesson on Bailouts
Congress Remains Divided on Bailout
Letter to the Editor - Rescuing Detroit: The Great Debate
Saving Detroit from Itself
Saving Detroit from Itself
Saving the Big Three...Or Not
Saving the Big Three...Or Not
"Drop Dead" Is Not an Option